Study On The Valuation Of The Listed Companies On GEM

In order to improve china’s financial market, the growth enterprise market as a new market segment was established. It becomes an integral part of the financial markets with motherboards and small plates. Therefore, how reasonable valuation of the companies listed on GEM became the talk of the wide range of academics and motherboard market. GEM market has different characteristics with the motherboard market, the market for small plates. It is more focused on the prospects for the development and growth potential of the company, with high-tech, high-risk and high-growth characteristics. Meanwhile, it’s listing standards far less than the maturity of the motherboard market. So, the company has unique valuation characteristics of GEM. On the basis of full analysis of the characteristics of GEM is different from the motherboard features and the unique valuation GEM assessment, through empirical analysis, the main parameters and the stock price impact assessment results of each valuation method to establish the linear model. By examining the explanatory power of each model for stock prices, adjusted R2, according to their size, to determine what kind of valuation models most suitable for the assessment of the value of the GEM companies.This thesis first introduces the current development of China’s GEM, the GEM market valuation, and GEM listed on the practical significance of the valuation of the company. And then it introduces the relevant research literature of the valuation of domestic and foreign enterprises, the main method of business valuation, as well as the progress of the study of the GEM market valuation of listed companies. In addition, it introduces the difference between the connotation of the GEM and the motherboard, highlights that the factors are important to The GEM enterprise valuation.According to the characteristics of the GEM market, this thesis analyzes the idea of a GEM listed company valuations. It introduces that the book value method, the market assessment method, the dividend discount model assessment method, the discounted free cash flow method, the residual income model assessment and the real option evaluation method are used in the valuation of the GEM companies. Depth analysis of the advantages and disadvantages of various methods and issues requiring attention in the GEM business valuation, qualitative excludes the cost method, dividend free cash flow method applied to the value of the GEM assessment.Focus on the method of price-earnings ratio, book value method, the sales ratio method, the discounted free cash flow, residual income model assessment of these five is of more extensive and suitable for the GEM enterprise value assessment of evaluation methods of empirical comparative study. By empirical comparative analysis, the earnings model and the residual income model stock price has more explanatory power on price than the other three models. In other words, the evaluation methods of price-earnings ratio and residual income model to assess the law in regard to other methods more suitable for the assessment of the value of the GEM companies in China.The writing of this thesis is mainly used two research methods. First, this thesis uses the qualitative analysis. Several important corporate value assessment methods are qualitative analyzed. And it describes in detail the theoretical application of the classification of evaluation methods of the enterprise value evaluation system in the GEM, the market approach, income approach and real options method in the application need to pay attention to problems. Finally, it qualitative excludes the cost method, the valuation of dividend free cash flow method used in the GEM. Besides, the research method is a combination of normative and empirical research. In aspects of specification research, the efficient market theory as the empirical basis, this thesis considers that China’s GEM market is weak validity, the intrinsic value and market value has a high degree of linear relationship. So, we can evaluate the explanatory power of the stock price through the establishment of an empirical model inspection and enterprise value. In aspects of empirical research, this thesis selects five business valuation methods, their parameters and stock to establish the linear regression model to determine which valuation method is suitable for the assessment of the value of GEM companies, according to the size of the adjusted R2of the regression results.The core of this study is that by analyzing and comparing the GEM is different from the other plate characteristics for enterprise value evaluation model based on the value of the business of the GEM Listing influencing factors discussed in detail in the application of the GEM, and for the classical valuation model through empirical analysis, examining what kind of evaluation model is applicable to the valuation of the GEM companies today. This innovation is reflected in two aspects. First, according to several classical evaluation methods for the assessment of enterprise value, consider the actual characteristics of the GEM, details Note enterprise value assessment methodologies in the valuation of the GEM and, qualitatively excludes the cost method, dividends free cash flow method used in the valuation of the GEM. Second, this thesis explains the effect of the empirical model analysis of several classic corporate valuation model GEM stock prices. Through empirical comparison of the method of price-earnings ratio, book value method, the sales ratio method, the discounted free cash flow model, the residual income model assessment of five kinds of enterprise value evaluation methods, this thesis assesses the enterprise value of which for our GEM assessment models.